126.
Right
to dividend, rights shares and bonus shares to be held in abeyance pending
registration of transfer of shares.

Where
any instrument of transfer of shares has been delivered to any company for
registration and the transfer of such shares has not been registered by the
company, it shall, notwithstanding anything contained in any other provision of
this Act,—

a.transfer the dividend
in relation to such shares to the Unpaid Dividend Account referred to in
section 124 unless the company is authorised by the registered holder of such
shares in writing to pay such dividend to the transferee specified in such
instrument of transfer; and

b.keep in abeyance in
relation to such shares, any offer of rights shares under clause (a) of
sub-section (1) of section 62 and any issue of fully paid-up bonus
shares in pursuance of first proviso to sub-section (5) of section 123.